Practice prompt · Q:statement-presentation-comprehensive-income-and-disclosure/practice-afs-holding

Classify a security holding gain

Classify a holding gain on an available for sale debt security.

Updated Sep 13, 2026 Review due Dec 13, 2026
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A company holds a debt security classified as available for sale. Its fair value rises while it is held. The supplied accounting treatment sends the after-tax holding gain where?

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Answer: a

The accounting rule for this security puts the holding gain in OCI while it is held.